EUR/USD challenging the 1.2400 support

Spot trades unmotivated at/below the 1.24 handle.
USD remains bid with DXY above 89.00.
US PCE, personal income on sight.

Pablo Piovano FXStreet

The upbeat sentiment around the greenback is keeping EUR/USD in subdued levels at the beginning of the week around the 1.2400 neighbourhood.

EUR/USD now looks to US docket

Spot keeps the offered bias on Monday, reverting Friday’s advance and trading more than a big figure down from multi-year peaks above 1.2500 the figure seen on Thursday.

Still in the euro area, comments by ECB’s S.Lautenschlaeger and P.Praet passed largely unnoticed by market participants, while the focus of attention seems to gyrate around the buck and today’s US releases.

On that regard, US inflation figures gauged by the PCE are next on tap seconded by December’s personal income/spending.

EUR/USD levels to watch

At the moment, the pair is losing 0.23% at 1.2398 facing the next support at 1.2385 (low Jan.29) followed by 1.2310 (10-day sma) and finally 1.2172 (21-day sma). On the flip side, a breakout of 1.2537 (2018 high Jan.25) would target 1.2571 (high Dec.16 2014) en route to 1.2600 (psychological level).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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